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Judgment
Reva Khetrapal, J.—The petitioner has filed the present petition u/s 11 of the Arbitration & Conciliation Act, 1996 seeking appointment of an arbitrator to adjudicate upon the disputes between the parties arising out of the Work Order dated 04.03.2009 read with Addendum dated 05.03.2009. The Respondent No. 1, under the aforesaid Work Order placed on the Petitioner an order for 24,000 chairs to be supplied to its ACA-VDCA Stadium, Visakhapatnam at the rate mentioned therein. It is the case of the Petitioner that the chairs, as ordered, were supplied and installed to the complete satisfaction of the Respondent No. 1 and in respect thereof, the Petitioner raised invoice No. 091 dated 02.05.2009 on the Respondent No. 1 for a sum of Rs. 3,24,000/- and a letter was also addressed by the ACA-VDCA Stadium Administrative Committee to the Respondent No. 1 stating therein that the job had been done satisfactorily, copy whereof was also sent to the petitioner.
It is further the case of the Petitioner that subsequently the Respondent No. 1 asked the Petitioner to shift 4,800 chairs, which job was also satisfactorily completed by the Petitioner and in respect thereof a bill dated 14.09.2009 amounting to Rs. 9,60,000/- was raised on the Respondent No. 1.
Admittedly, a sum of Rs. 2 crore has been received by the Petitioner from the Respondent No. 1 as advance payment. However, a sum of Rs. 1,33,60,000/- is still due and payable from the Respondent No. 1 inspite of various letters written by the Petitioner to the Respondent No. 1 in this regard. Left with no other option, the Petitioner vide its letter dated 13.02.2010 invoked the arbitration clause contained in the Addendum dated 05.03.2009. Despite receipt of the said letter, the Respondent No. 1 did not accord its consent to adjudication of disputes by arbitration and thus, the present petition was filed by the Petitioner.
Notice of the filing of the petition was issued to the Respondents, in response to which the Respondents have filed their reply vehemently denying the arbitration agreement between the parties and raising counter-claims against the Petitioner. Today, the counsel for the respondents, however, on instructions from the Respondents, states that an independent arbitrator may be appointed by this Court subject to leave being granted to the Respondents to raise all the objections including the objection as to the existence of arbitration agreement and counter-claims before the arbitrator.
In view of the submissions made by the learned counsel for the Respondents, I appoint Mr. Justice A.B. Sahrya, (Retd. Judge of this Court) with the consent of the parties to arbitrate upon the disputes between the parties, including any preliminary objections and counter claims that may be raised by the respondents. The arbitration shall take place under the aegis of Delhi High Court Arbitration Centre. The fees of the arbitrator shall also be in terms of the Delhi High Court Arbitration Centre (Arbitrator''s Fees) Rules. The petition is allowed in the above terms.
A copy of this order be sent to the learned arbitrator as well as to the Delhi High Court Arbitration Centre.